Algorithmics launches message exchange service

Algorithmics, a provider of collateral management solutions, is developing a message exchange service for collateral management to support current industry initiatives towards electronic messaging.

The service, called Algo Connect, will facilitate the electronic communication between collateral counterparties and related service providers through an open standard and will be accessible to all, regardless of the collateral management system being used.

The development of Algo Connect is being guided by a panel of advisory partners from among Algorithmics' 70 collateral clients in 17 countries, non-clients, and other industry participants to establish messaging capabilities that satisfy the business requirements of both buy side and sell side collateral professionals.

David Wechter, senior director, collateral product management at Algorithmics, says: 'Our goal for electronic messaging is to work with the collateral industry to establish an environment that promotes a best practice standard in the OTC collateral market space. Algo Connect will be an industry message exchange allowing for collateral management to be standardized on a single communication platform that improves efficiency, reduces errors, and maximizes participation between all collateral professionals and geographies.

'Electronic messaging between collateral counterparties is a critical piece of the industry's strategic direction for effective, efficient and controlled collateral management and we look forward to working with our panel of advisory partners to achieve our goals for interoperable collateral messaging.'